Matching Gifts Basics

What are matching gift programs?

As part of a corporate philanthropy programs, companies of all sizes will match donations that their employees make to charitable organizations. When an employee makes a donation, they request a match from their employer, who then makes a donation to the same organization

Companies usually match donations at a 1:1 ratio, but some will match at a 2:1, 3:1, or even a 4:1 ratio.

Why are matching gifts important?

Corporate matched donations are important because they are free money for your nonprofit! It gives you more bang for your fundraising buck, so to speak. Your organization will receive two donations for the work of soliciting one.

Why do organizations overlook matching gifts?

Nonprofits struggle with receiving these gifts because so few people know about their employer’s corporate philanthropy programs. Nonprofits also don’t always know who someone’s employer is or what their specific policy is.

Communicating guidelines and instructions, especially on a wide scale, can be difficult, so nonprofits frequently choose to focus their efforts on traditional fundraising strategies.

Takeaway: Corporate philanthropy programs allow your donors to maximize the impact of their donation, but without having to reach back into their wallets to do so.

Which Nonprofits are Eligible for Matching Gifts?

Educational Institutions

Such as: universities, colleges, seminaries, alumni funds, K-12 schools, or school district foundations

Health and Human Services

Which nonprofits are ineligible for matching gifts?

Restrictions for eligibility ultimately fall to the employer, but the most common restriction is for religious organizations.

Many employers will not match donations make directly to houses of worship, but will match donations made to institutions affiliated with houses of worship that provide a service to community members regardless of religious beliefs, such as food banks or homeless shelters.

Takeaway: Approximately two-thirds of companies match employee donations to nearly any of the above 501(c)(3) organizations or educational institutions, while the other third typically choose the organizations and programs most closely related to their mission.

Double the Donation’s Matching Gift Service

Double the Donation – Basic Plan

Double the Donation’s Basic Plan is the perfect option for nonprofits with fewer than 1,000 donors. The basic plan gives your nonprofit a corporate philanthropy page where your donors can easily access the entirety of the Double the Donation database.

The page is easy to set up—no coding knowledge required. It’s also easy to customize, so that you can include your logo and brand the page to your colors.

Double the Donation – Premium Plan

The Premium Plan from Double the Donation is great for nonprofits that want flexibility with their access to the database and the ability to integrate it into their own website and donation process.

With the premium plan, your nonprofit will be able to embed the Double the Donation database anywhere on your website, so your supporters don’t have to leave your page to look up their employers. The plugin is easy to include and works immediately.

360MatchPro

This comprehensive program is perfect for larger nonprofits who are looking for a completely automated matching gifts software.

You can automate outreach, and analyze and forecast your corporate philanthropy revenue all through one program.

Matching Gift Program Guidelines

Matching Gift Ratio

Every company has a different idea of what a ‘match’ is for their employees. The majority of companies match at a 1:1 ratio, but others have drastically different standards.

Some companies will give $.50 for every dollar an employee donates, but others will give as much as $4 for every $1 that an employee donations.

The ratio may also differ based on the type of employee (based on things like standing within the company or retirement status), or the type of organization to which the donations go (educational, arts and cultural, environmental, etc.).

Minimum and Maximum Match Amounts

Wouldn’t it be nice if your major gift donors’ employers could double their gifts? Unfortunately, that’s not feasible. Companies apply minimums and maximums to their corporate philanthropy programs.

The most common minimum is $25, although it can range from $1 to $100. The maximum can range from $1,000 to $15,000, and sometimes further in either direction.

The min and max amounts vary by company, employee, and nonprofit type, so every employer will have a different policy.

Submission Deadlines

Different companies have different deadlines. Awareness of these dates ensures that you don’t miss out on easy money.

Standard match request submission deadlines include:

End of the calendar year.

A set number of months after the date of the donation, most often 3-12 months.

End of January, February, or March in the year subsequent to when the donation was made.

Top Matching Gift Companies

General Electric has been matching employee charitable donations since 1954, when the GE Foundation launched the first-ever corporate matched donation program! Now, GE donates more than $35 million each year in matched charitable gifts.

British Petroleum matches full- and part-time employee donations at a 1:1 ratio to educational, economic development, and environmental nonprofits. BP employees can also request matches for their peer-to-peer fundraising revenue!

Gap Corporation matches donations made by part-time, full-time, and retired employees at a 1:1 ratio. The maximum donation that Gap will match is based on position — the higher position within the company the employee holds, the higher the maximum!

IBM matches donations of up to $5,000 per donor. Active employees are eligible for a 1:1 match ratio ($10,000 total maximum per year), while retirees can have their gifts matched at an industry-high 5:1 ratio ($30,000 total maximum per year!).

Takeaway: 65% of Fortune 500 companies match donations from employees to a wide variety of nonprofits. Although corporations don’t always release specific figures, top contributors include Microsoft (more than $48 million annually) and GE (more than $37 million annually).

General Electric has been matching employee charitable donations since 1954, when the GE Foundation launched the first-ever corporate matching gift program! Now, GE donates more than $35 million each year in matched donations.

British Petroleum matches full- and part-time employee donations at a 1:1 ratio to educational, economic development, and environmental nonprofits. BP employees can also request matches for their peer-to-peer fundraising revenue!

Gap Corporation matches donations made by part-time, full-time, and retired employees at a 1:1 ratio. The maximum donation that Gap will match is based on position — the higher position within the company the employee holds, the higher the maximum!

IBM matches donations of up to $5,000 per donor. Active employees are eligible for a 1:1 match ratio ($10,000 total maximum per year), while retirees can have their gifts matched at an industry-high 5:1 ratio ($30,000 total maximum per year!).

Takeaway: 65% of Fortune 500 companies match donations from employees to a wide variety of nonprofits. Although corporations don’t always release specific figures, top contributors include Microsoft (more than $48 million annually) and GE (more than $37 million annually).

The Matching Gift Submission Process

Step 1: Donor submits a donation

The first step in submitting a match request is making the original donation for the company to match.

If you’ve followed our top corporate philanthropy marketing strategies, during or immediately after the donation submission process, your donor will encounter corporate philanthropy information on your website.

They might see a plugin on your donation form or on your donation confirmation screen. This plugin is their portal to the matching donation process.

Step 2: Donor determines eligibility

Once your donor decides they want to submit a match request, they need to determine if their donation is eligible to be matched by their employer.

Using a database search tool, your donor types in the name of their employer. If the company offers a corporate philanthropy program, the company’s name will appear in the drop-down menu. All your donor has to do now is click on the name of their company!

Step 3: Donor submits forms

On the resulting company gift information page, donors can check to see if:

Their employer matches donations by employees like them (e.g., full-time, part-time, or retired).

The nonprofit they’re donating to is eligible to receive matched donations from their employer.

Their gift amount qualifies for a corporate donation.

Once donors know that they and the nonprofit they’re donating to are eligible for a matching donation, they click on the link to the necessary online forms provided by the database tool. They fill out those forms and hit submit!

More than 80% of companies require match requests to be submitted online. Directing your donors straight to the online forms makes the process quicker and easier.

Step 4: Company makes donation

Your donor’s employer has to review the forms they submitted and follow up with your nonprofit to confirm that the original donation was made.

If all the forms and information are in order, the company sends your nonprofit a check!

This step in the process is a great opportunity to send an email or letter to your donor. Thank them again for their donation and inform them that the corporate match has arrived.

Takeaway: The entire matching donation submission process can be completed by a donor in less than five minutes. The key is to ensure donors know if their company will match their gift and provide them with the forms or links needed to submit their match requests, using Double the Donation’s instant matching donation database search tool.

Measure Your Performance with a Matching Gift Database

Measuring Matching Gifts

How can you know if your corporate donation strategy is successful if you don’t know how many gifts you’re receiving or how much money you’ve made from these donation?

Some key metrics to keep in mind are:

Number of matching donations.

Total revenue raised from matched donations.

Percentage of donations that included matched donations.

Percentage of total revenue raised from matched donations.

What 360MatchPro’s data analysis can show you

Tracking all of these data points can be difficult, especially when your team is already busy. But 360MatchPro, the automated matching gifts marketing platform, can ensure your nonprofit’s success when it comes to receiving corporate donations as well as keep you informed on your progress.

360MatchPro’s data tracking capabilities can give you up-to-the-minute updates on information such as:

What percentage of your donations are eligible to be matched.

What stage in the process your donors are.

Where the largest revenue opportunities are.

With easy overviews of your data, your nonprofit will quickly be able to see where you’re succeeding and where you have room for improvement.

Case Study: Leukemia and Lymphoma Society

The Leukemia and Lymphoma society began using 360MatchPro in June of 2017, and have seen tremendous success since. 12 months later, their annual corporate matched donation revenue has grown by over $1 million, by identifying previously missed opportunities and automating follow-up.

Takeaway: Tracking data can be hard, but you need to know where to stand in order to show that you’ve improved. Use a software like 360MatchPro to automate your matching donation process.

The Ultimate Guide to Matching Gifts

Every nonprofit needs a resident expert in corporate philanthropy, someone who understands the mechanics of the most popular corporate matching gift programs and the best marketing strategies to get donors on board.

Why can’t that expert be you?

Download the ultimate guide to matching gifts to learn everything you need to know. With the information and strategies contained within this guide, your nonprofit will find itself on the path to increased corporate philanthropy revenue in no time!